Integrated

Annual Report

2018


NAVIGATING OUR REPORTING SUITE

NAVIGATING OUR REPORTING SUITE

Our six capitals

Our ability to create long-term sustainable value for stakeholders depends on the use of various capitals within our business. The International Integrated Reporting <IR> Framework supports integrated financial reporting, and, in particular, the reporting of the Group's business model across these six forms of capital. Refer to "Our business model" on pages 20 to 21 for more information.

Financial

Human

Manufactured

Social and relationship

Intellectual

Natural


Our key stakeholders

The Group is committed to open and constructive engagement with all our stakeholders. Our business model and strategy are designed to consider and address the issues and concerns most relevant to our key stakeholders. Refer to the "Engaging with our stakeholders" section on pages 38 to 41 for more information.

Customers

Community

Employees

Suppliers

Franchisees

Shareholders


Our business acceleration pillars

The second stage of our strategic long-term plan is organised around seven business acceleration pillars. These pillars represent the material growth opportunities that can materially affect our ability to create value over the short, medium and long term. Refer to our "Strategic focus" section on pages 44 to 51 for more information.

Better for customers

A flexible and winning estate

Efficient and effective operations

Every product, every day

A winning team

Boxer–
a national brand

Rest of Africa – a second engine of growth


Previous

Value-added statement


    52 weeks 
25 February 
2018 
Rm 
%   52 weeks 
26 February 
2017 
Rm 
%
  Turnover  81 560.1       77 486.1   
  Amounts paid for merchandise and expenses  (71 445.2)    (67 769.9)
  Finance income  184.1     126.1 
  Total value created  10 299.0  100.0     9 842.3  100.0 
  Distributed as follows:           
  Employees           
     Salaries, wages and other benefits  6 688.7  64.9     6 619.8  67.3 
  To providers of capital  1 621.1  15.7     1 317.5  13.3 
     Distributions to shareholders  866.5  8.4     753.5  7.7 
     Share purchases  423.4  4.1     345.4  3.4 
     Finance costs  331.2  3.2     218.6  2.2 
  Government           
     Taxation expense  471.8  4.6     461.0  4.7 
  Retained for growth  1 517.4  14.7     1 444.0  14.7 
     Depreciation and amortisation  1 087.6  10.6     981.5  10.0 
     Profit for the period after distributions to shareholders  429.8  4.2     462.5  4.7 
  Total value distributed   10 299.0  100.0     9 842.3  100.0 

Prior period amounts normalised for non-recurring items and/or restated to ensure comparability.

We have created financial value of R10.3 billion (2017: R9.8 billion) during the
financial period. The value-added statement illustrates how we have distributed
this value to our stakeholders.